CertiK Exposes Security Vulnerability in Kraken Exchange

• CertiK white-hat hack exposes Kraken's bug allowing users to print money.
• Kraken lost nearly $3 million in crypto due to the exploit.
• CertiK defends actions, claims Kraken demanded mismatched funds back.
• White-hat hacking used to identify vulnerabilities in systems.
• Kraken files motion to dismiss SEC lawsuit, denies being a securities exchange.
• Speculation arises about CertiK's audits and potential inside jobs.

Summary :
Blockchain security firm CertiK has revealed that it was behind a white-hat hack on cryptocurrency exchange Kraken. Kraken had previously referred to the hack as "extortion" and treated it as a criminal case. CertiK defended its actions, claiming that Kraken had threatened its employees and demanded a mismatched amount of funds. The researchers were able to exploit a bug on the platform, allowing them to withdraw funds before deposits were completed. Kraken lost nearly $3 million as a result. CertiK stated that it had leveraged the bug multiple times as part of its investigation into Kraken's security vulnerability. The exchange failed to provide an address for the return of the funds, so CertiK sent the cryptocurrency to a digital wallet accessible by Kraken.

Sources :

- Decrypt